The Chinese adoption of crypto is anything but at a high ebb, as China has built a reputation as a country with a very negative attitude towards the emerging sector. The country therefore heavily regulates crypto: for example, it has not been allowed to mine crypto since 2021, which had a significant impact on the market at the time. hash rate of the Bitcoin (BTC) network. It is also forbidden to trade and spend crypto in the country. Despite this, the government now seems keen to embrace the potential of Web3 and its development in some sense.
Web3 adoption in China
The local news medium, The Paper yesterday namely knowing that the ‘Beijing Municipal Science & Technology Commission’also known as the ‘Administrative Commission or Zhongguancun Science Park’, one white paper launched to promote innovation and development within the Web3 industry. The white paper, called Web3 Innovation and Development White Paper (2023)highlights the technology’s status as an “inevitable trend for the future development of the Internet industry.”
The committee aims to manifest Beijing as a global hub for the digital economy. To this end, the city’s Chaoyang District will spend at least 100 million yuan (about $14 million) through 2025. Yang Hongfu, director of the management committee of Zhongguancun Chaoyang Park, said in the document.
Chinese policy change of crypto?
Binance CEO Changpeng Zhao (CZ) emphasized the interesting timing of the white paper launch. This coincides with the upcoming implementation of Hong Kong crypto legislation. From June 1, crypto exchanges in Hong Kong can apply for licenses from the financial watchdog, taking an important step in the adoption of digital currencies. While Hong Kong wants to grow into a true crypto hub, China’s attitude towards crypto may now also seem to be changing for the better.
Earlier this week, it also appeared in the crypto news that an item about crypto was broadcast on Chinese state television CCTV. Specifically, it was about the new regulation regarding digital currencies in Hong Kong. CZ labeled this as a big deal and considers it highly bullish.